Sri Lanka mulls cutting excessive airport fees to boost tourism

Sri Lanka Tourism

Sri Lanka is reviewing how to reduce airport fees to make the country more competitive with the rest of Asia and make the country more attractive to tourists Sri Lanka's tourism minister said.

"A review is being done as to how best we could reduce the landing charges, fueling charges and airport taxes," Amaratunga said. 

He admitted that excessive airport fees are being passed on to airline ticket prices to Sri Lanka, making the country less attractive for potential tourists. 

Sri Lanka has a state monopoly supplying fuel at the airport and there is no competition. When fuel supply is competitive if there are procurement irregularities and the petroleum firm pays high prices to buy fuel, it will lose out to competition. 

While many East Asian airports are also state-run, their fees are lower.

For example in a Colombo-Kuala Lumpur Colombo ticket sold by Malaysian Airlines for 34,656 rupees, the Colombo Malaysia leg is 19,918 rupees and the KL Sri Lanka leg is 14,738 rupees.

Airport embarkation fees and taxes in Malaysia is 2,874 rupees and in Sri Lanka 8,094 rupees. Airport taxes are 40 percent of the ticket price in Colombo. 

On Malindo Air, in a ticket priced at 41,348 rupees, out of taxes of 10,968 rupees, 8,094 are for Sri Lanka. 

Meanwhile Amaratunga said discussions are ongoing on other taxes as well. 

Sri Lanka also has value added tax and nation building tax on tourist products, which however is a reasonable given the need to broadbase taxes and end exemptions. 

However in many countries VAT paid by tourists is reclaimable. 

There is however a need to collect tax from the sector as many of the larger hotels that have come up have tax holidays and taxes like the NBT are simple to collect especially if booking engines could remit them directly to the state. 

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Sri Lanka looks to grant visa free entry to tourist friendly nations

COLOMBO, Aug. 6 (Xinhua) -- Sri Lanka's Prime Minister Ranil Wickremesinghe has appointed a task force to study the possibility of granting visa free entry to visitors from certain tourist friendly nations in order to boost arrivals to the island country, local media reported on Monday.

Sri Lankan Tourism Minister John Amaratunga said that some of the countries under consideration are India, China, and some European and West Asian countries.

Amaratunga said this proposal was aimed at encouraging more people to visit Sri Lanka and avoid the "chaos" at the immigration.

Following recommendations from the Task Force, this proposal may be implemented in the off peak months of October to November and March to April, the minister said.

He further said the Sri Lanka Tourism Promotion Bureau (SLTPB) is currently working on this plan.

Additionally, in order to boost arrivals, the minister said the government was also in discussion with airlines, tour operators and hotels to provide low cost packages during the off peak months.

"These efforts are underway to ensure Sri Lanka becomes a destination that would be a visited location throughout the year," Amaratunga said.

Sri Lanka's tourism industry, which was once heavily scarred by a 30-year civil conflict, has become one of the leading industries of the country. Tourist arrivals have recorded a growth of 15.3 percent during the first half of 2018 compared with the same period last year, recent statistics from the Tourism Ministry showed.

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Sri Lanka exports up 9.8-pct, tourism grows 6.2-pct in May

ECONOMYNEXT - Sri Lanka's merchandise exports rose 9.8 percent from a year earlier to 841 million dollars in May and tourism grew 6.2 percent to 240 million dollars, while remittances fell 3.4 percent to 580 million dollars, the central bank said.

The main merchandise and services exports totaled 1.744 billion US dollars.

Merchandise imports rose 7.7 percent to 1,857 million US dollars.

The rest of the trade deficit (current account deficit) is usually driven by financial inflows such as net foreign borrowings which are spent by government in the domestic economy and foreign direct investment, which are used to construct factory buildings or machinery.

Money printing by the central bank will also drive credit and imports though the banking system, but unlike dollar inflows, the new money created will create an overall balance of payments deficit and put pressure on the rupee peg with the dollar, as there are no matching inflows to back the spending.

Sri Lanka's private citizens are usually net savers and the trade deficit is mostly driven by borrowings taken and spent by the government.

Any remittances which are saved in foreign currency deposits will not generate a trade deficit until a bank buys Sri Lanka Development Bond to finance the budget deficit or gives a dollar loan to a qualified local borrower.

Industrial exports rose 15.5 percent to 709.7 million US dollars, with apparel and textiles up 10.9 percent to 398.3 million US dollars.

Rubber products rose 2.4 percent to 68.6 million US dollars and petroleum products rose 66.8 percent to 46.1 million US dollars and gems and jewelry rose 3.3 percent to 23.1 percent.

Chemical products rose 28.1 percent to 14.3 percent and base metals rose 56.1 percent to 14.5 million US dollars.

Agricultural exports fell 5.9 percent to 209.6 million US dollars with tea falling 7.9 percent to 121.2 million US dollars.

Coconut exports fell 13.6 percent to 24.2 million US dollars, minor agricultural products fell 19 percent to 10.5 million US dollars.

Seafood exports rose 19.9 percent to 21.2 million US dollars.

Consumer goods imports rose 8.1 percent to 414.5 million US dollars, vehicles up 29.7 percent to 119.6 million US dollars and foods and beverages down 21.1 percent to 128.6 million US dollars.

Sri Lanka raised fuel prices in May which may cause non-oil imports to moderate in the coming months as losses financed by credit at Ceylon Petroleum Corporation falls.

Intermediate goods rose 20.6 percent to 1,042.7 million US dollars with fuel imports rising 61.8 percent to 348.9 million US dollars.

Legal gold imports fell to 0.1 million dollars from 35.8 million US dollars. Investment goods fell 8.8 percent to 398.2 million US dollars.

In the five months to May, Merchandise exports rose 6.7 percent to 4,707 million US dollars, imports rose 11.8 percent to 9,622 million US dollars and the trade deficit grew 17 percent to 4,914 million US dollars. (Colombo/July21/2018)

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Sri Lanka is going all out to woo Indian tourists

Sri Lanka has seen a record number of Indian tourists visit the island nation. Last year, it clocked in 3.84 lakh Indian travellers. This year, they are looking to lure even more visitors. This is what tourists can expect.

Sri Lanka is expecting a healthy growth in the number of Indian tourists arrivals this year, as the island nation is out to woo travellers even from smaller cities. Sri Lanka has seen a substantial growth in tourist arrivals from India last year, with over 3.84 lakh travellers. Currently, India is the number one country in terms of tourist arrivals, followed by China, UK and Germany. Some of the most popular destinations in Sri Lanka include Kandy, Colombo and Bentota.

“However, this year we are targeting 4.50 lakh tourists from India,” said Viranga Bandara, Assistant Director-Marketing, Sri Lanka Tourism Promotion Bureau. “We mainly get tourists from the metros like Delhi, Mumbai, Bengaluru, and Chennai... those are the main tourism-generating hubs for Sri Lanka tourism. But we are also targeting smaller cities,” he said.

Upekkha Samaratunga, Minister (Commercial), Sri Lanka High Commission in New Delhi, said that according to Sri Lanka tourism statistics, India ranks number one in terms of inward traffic to the island nation. “We look forward to travellers from India throughout the year, irrespective of the season. Most Indians like to travel short distances on a competitive budget. In that scenario, Sri Lanka has become popular. However, we are also targeting the high-end tourists from various parts of India, including Chandigarh and neighbouring towns like Ludhiana,” said Samaratunga.

About Sri Lankan food, she said that there is a lot of similarity in their cuisine and what is found in parts of south India. “We use a lot of coconut in our preparations, like it is used in south India. Sri Lankan cinnamon, pepper and other products are also quite popular among Indians. Through tourism, we can expand our trade relations, as India is our key trading partner,” she further said.

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Targeting more Indian tourist footfalls

Sri Lanka is aiming for a tourism revenue of $4 billion this year, which would be a record high for the sector. To achieve that, the island’s tourism department will chiefly target visitors from India, from where it gets the highest number of visitors. Authorities point to an uptick in young travellers from India coming to Sri Lanka on weekend trips. They arrive on Friday night and return on Sunday, often squeezing in a quick drive to beach towns such as Galle and Bentota along the southern coast.

With the hope of getting Indian tourists to prolong their stay, and to draw more tourists from other key markets such as China, the United Kingdom, Germany and France, Sri Lanka’s Tourism Development Authority is looking to popularise new attractions. According to its chairman Kavan Ratnayaka, these places will also be an alternative to the currently popular destinations that often get overcrowded — especially Yala National Park in the south and the ancient rock fortress of Sigiriya in the Central Province. “We are exploring if the ancient town of Polonnaruwa can be presented as an alternative to Sigiriya, and other national parks like Minneriya and Kaudulla as alternatives to Yala,” he told The Hindu. 

Additionally, tourism authorities are giving shape to the ‘Ramayana trail’, which will consist of sites that many believe have links to the epic. While private tour operators already offer packages to some of these sites, the Tourism Development Authority is yet to formalise the trail. New Delhi, especially after the Bharatiya Janata Party (BJP) government took over in 2014, has been reportedly keen on the initiative. Simultaneously, within Sri Lanka, there is a resurgent interest in Ravana that offers potential for developing associated sites, officials said.

Making Colombo more happening

 

The trail is only one of the many attractions on the scenic island, where the beaches, hills and historic sites compete for attention. Many Indians are also patrons of the 24-hour casinos in Colombo. In fact, some of them travel frequently, often in groups, and spend the weekend chasing fortunes. The Sri Lanka Tourism Development Authority is also focussing on “making Colombo more happening” with greater retail and entertainment options, authorities said. While its outreach is global, there is a special focus on India — for its proximity and traditional business links — through a targeted campaign online. 

Since the end of the civil war in 2009, Sri Lanka has been witnessing a steady increase in tourist arrivals, but there has been a considerable surge in the last couple of years. From 4.47 lakh in 2009, the number of tourists increased to 10 lakh in 2012. By 2016, the figure had doubled to 20 lakh, according to official data. This year, until May, over 10 lakh tourists visited the island. Of those, about 1.7 lakh visitors, almost a fifth of the total arrivals, were from India. China came second in terms of the number of tourists, with 1.16 lakh arrivals. 

Tourism is, at present, Sri Lanka’s third-biggest source of foreign exchange, after tea and textiles. Authorities want to push it to the top slot. Keeping this objective in mind, they have strengthened security measures. Earlier this year, following a series of incidents involving sexual abuse and violence targeting foreign tourists, authorities said they would set up police posts and patrols at popular resorts. “We have zero tolerance to any threat to the safety of tourists. Sri Lanka should be absolutely safe for the solo woman traveller. That is the standard we are working towards,” said Mr. Ratnayaka. 

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Sri Lanka Tourism sees Mumbai as market of high growth potential

Sri Lanka Tourism started its 2018 tourism calendar with a positive output by participating in the 5th edition of the India International Travel & Tourism Exhibition –IITT 2018, with more than 28,000 visitors and more than 500 fully-hosted buyers attending it. This travel extravaganza was held from 11th to 13th January. 

SriLanka Tourism played a major role at the IITT as the MICE& Wedding Destination partner. Sri Lanka is becoming widely popular as a wedding destination for those who want to have a different experience in a different culture. Its different picturesque landscapes and colonial style hotels offer a rare treat to have the perfect matrimonial experience of one’s choice. 

The other key sponsors of this event included Indonesia Tourism, Feature Destination, Maharastra Tourism, Host State & Malaysia Tourism, Feature Country. The Sri Lanka pavilion was able to draw a major attraction as it was exquisitely crafted and designed, highlighting Sri Lanka’s talent of making innovative and vivid creations. 

The creativity of the Sri Lanka pavilion met other levels of art with professionalism. IITT partnering with Sri Lanka proved to be rather momentous for the industry, and showed signs of having an idyllic business partnership in future as well. 

The Sri Lanka pavilion was declared open by Shri Jayakumar Jitendrasingh Rawal, Minister of Tourism, Government of Maharashtra, and also Saroja Sirisena, Sri Lanka Consul General in Mumbai. Twenty eight leading travel agents and hoteliers from Sri Lanka including leading names in the industry from Sri Lanka participated at the event, and were able to further strengthen their business relationships and marketing strategies with their Indian counterparts. 

Coinciding with the event, Sri Lanka Tourism hosted a dinner titled ‘Sri Lanka evening’ for Indian wedding planners, tour operators and the media, which gained the attention of Sri Lanka as a rapidly growing wedding and film destination, with its wide diversity of attractions to suit the needs of any interested traveler. The cultural performances showcasing Sri Lanka’s heritage attracted the Indian participants immensely both at the IITT and also the Sri Lanka evening. 

The inauguration panel of IITT 2018 graced the presence of Shri Jaykumar Jitendrasinh Rawal, Minister of Tourism, Government of Maharastra, Special Guest Saroja Sirisena, Sri Lanka Consul General in Mumbai, Karan Anand, Head of Relationships and Supplier Management, Cox & Kings. Joining them were industry leaders Jatinder Paul Singh, COO, Cox & Kings, Sunil Kumar, President, TAAI, Mahendra Vakharia, President, OTOAI, Guldeep Singh Sahni, Founder & Immediate Past President, OTOAI, Pronab Sarker – President, IATO and P. P Khanna, President, ADTOI. 

Through strong collaborations with countries seeking to expand their business in India, IITT hosted dedicated and distinct International Country Pavilions on the expo floor. Trade show visitors had a chance to meet, and gain invaluable insight from more than 500 travel exhibitors, partners and experts from over 20 International countries. With the existence of International Pavilions, the global connection only strengthened this expo and helped to touch new standards of connectivity with excellence and quality. 

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Again Pack your Bags for Sri Lanka

Are you planning to visit Sri Lanka again? Pack your bags as soon as possible. Don’t make yourself to wait. Sri Lanka the population of 20-25 million or more than it and covered the 65,610 sq km in area. The languages spoken in Sri Lanka are Tamil, English and Sinhala. The teardrop-shaped island of Sri Lanka is oddly designed by the Chinese as the "land without sorrow". The democratic socialist republic of Sri Lanka is a small nation and it is one of the most desired countries for travel in the South Asia region. After the destructive and disastrous Indian Ocean Tsunami of 2004 where 31,229 deaths were recorded and around a million left homeless, Sri Lanka's sweet and slow readjust accolades it as small miracle. In earlier days Europeans in the world of exploration thought that they had discovered the "Garden of Eden", but what has become to this pearl of the Indian Ocean is now the crown jewel of the spice trade. On the inside, the once-called Ceylon is care-free and peaceful, but around it, wars were waged by great empires in a search to covet the rich island. Now the government of Sri Lanka doesn’t allow outsiders easily. All need to have Sri Lanka visa and passport with them. Sri Lanka ETA visa is now available online. Now easily one can apply for Sri Lanka visa.  There are many online sites to make your visa easily.

Before you pack your bags for Sri Lanka consider these things:

Geography and Climate:  Sri Lanka is a 65,610 km in square. The territory of mainly flat and rolling plains while mountainous portion in the central part to the south. Quite low that the island wonders it has a highest altitude. The Pidurutalagala of 2,524 meters above the Indian Ocean is its lowest point. The country indulges in a warm tropical monsoon climate moderated by ocean moisture and winds. So in Sri Lanka the climate on first month of March to end of June will be very hot and after that from June to October will be rainy. And rest months are counted in Cold. So the best month to visit Sri Lanka is June to October. All these month will be monsoon and great to experience and enjoy.

People and Culture: The people of Sri Lanka are very nice. They always welcome outsiders with great heart. There are 4 religious of people mainly stayed over here. Buddhism, Hindu and Islam, Christianity. They are simple in nature and very humble to others. You will feel like home only.

Food and Attraction: Mainly people love rice and curry in their food over here. As the country is located near to sea therefore sea food is also famous over here. In hese parts of the world, food is so good everything to stop outsiders. People think Sri Lankan cuisine is similar to Indian cuisine. But it's not true all food items taste is different from other countries.

So when you will visit Sri Lanka try to visit whole Colombo. Obviously your plane will land there but still take for whole city ride. Make your Sri Lanka tourism visa from very trusted company.